Fred purchased a $100,000 policy naming his wife, Wilma, as primary beneficiary, and his only child, Pebbles, to receive any proceeds if Wilma dies before Fred, or if she dies after Fred, but before receiving all the policy proceeds. Fred elected the interest settlement option for Wilma, with the right of withdrawal after 5 years. No settlement option was stipulated for Pebbles. Fred dies on May 6th, 1991. When Fred dies, his insurance company will make settlement by paying:
Upon Fred's death, under the interest settlement option, what will the insurance company pay?
a) Lump sum to Wilma
b) Lump sum to Pebbles
c) Installments to Wilma
d) Installments to Pebbles
